REDWOOD CITY, Calif. - Biotricity Inc. (OTCQB: BTCY), a provider of remote cardiac monitoring technology with a current market capitalization of $6.36 million, declared today that it has secured the necessary capital to achieve profitability without the need for future financing. The company, which operates in the consumer healthcare sector, has completed a series of financings designed to enhance its financial stability and reduce execution risk. According to InvestingPro data, the company maintains a Fair financial health rating despite current challenges.
The company's recent financial filings reveal that it has raised $811 thousand through promissory and convertible promissory notes. This capital influx complements an additional $635 thousand from term loan proceeds and includes interest relief of $945 thousand on existing loans. Trading at $0.26 per share, InvestingPro analysis indicates the stock is currently undervalued. This strategic financial maneuvering is aimed at supporting Biotricity's largest manufacturing order to date, which is expected to fulfill sales orders in the 2025 calendar year. The company has demonstrated revenue growth of 13.55% in the last twelve months, reaching $12.62 million.
Dr. Waqaas Al-Siddiq, Founder and CEO of Biotricity, emphasized the company's dedication to growth and operational efficiency. While InvestingPro data shows current EBITDA at -$5.74 million, he noted that the company's achievement of positive Free Cash Flow—a key indicator of financial health—has garnered further investor confidence. Al-Siddiq also highlighted the operational improvements, including a 50% increase in capacity due to the company's proprietary AI workflow engine, which is anticipated to further reduce operational expenses. The company maintains a strong gross profit margin of 73.4%, despite current challenges identified in InvestingPro Tips.
Looking ahead, Biotricity is focusing on enhancements to its AI systems, which are expected to improve the cost of goods sold (COGS) across its Software-as-a-Service (SaaS) business by 5% following FDA clearance. This improvement is projected to contribute to the company's profitability. Investors can access detailed analysis and additional insights through InvestingPro's comprehensive research report, available among 1,400+ top US stocks covered by the platform.
Biotricity's mission includes bridging the gap in remote monitoring and chronic care management, offering solutions that cater to both medical and consumer markets. The company's approach to healthcare prioritizes preventive and personal care for chronic conditions.
The financial strategy outlined by Biotricity is based on non-GAAP measures such as Free Cash Flow, which reflects the cash generated from operations after accounting for operating expenses and capital asset spending. This measure is used by the company to provide a clearer picture of its financial performance, although it may not be directly comparable to similar measures used by other companies.
This news is based on a press release statement and does not constitute an endorsement of Biotricity's claims. It is intended to inform readers about the company's current financial developments and future plans.
In other recent news, Biotricity Inc. reported positive EBITDA for the first time in September, marking a significant milestone. The company's Q2 revenue saw a 13% increase year-over-year, reaching $3.3 million, largely due to robust demand for its Biocore Pro, an FDA-cleared cardiac monitoring device. Biotricity also announced plans to expand its market reach through strategic partnerships and is preparing to file for FDA approval of its AI clinical model by mid-2024.
Operating expenses decreased by 34%, resulting in a net loss reduction of 57% from the previous year. The company is also exploring opportunities in the Canadian market, as well as in the neurology and pulmonology sectors. It has placed its largest inventory order to date to support anticipated growth.
Despite reporting a net loss of $1.65 million, the company saw an 87% improvement in adjusted EBITDA, which remained negative at $249,000 for the quarter. Biotricity's strategic partnerships with major group purchasing organizations are expected to increase its market reach. These recent developments indicate a clear path towards profitability, driven by strong demand for its products and an expanding market presence.
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